💵 Income & Earnings
Money a person earns
Income
What is a budget?
Plan for money
What are savings?
Money saved for later
What is credit?
Borrowing money
What is a payment?
Paying what you owe
What are wages?
Money paid by the hour
What are expenses?
Money you spend on things
What is a savings account?
account where money is saved
What is debt?
Money you owe
What is opportunity cost?
Giving up one thing for another
What is a salary?
Money paid yearly for a job
What are needs?
Must-have items
What is interest?
Extra money earned from saving or money added onto a loan
What is a loan?
Borrowed money that has to be paid back later
What is giving something up to choose another?
Example of opportunity cost
What is income from a job?
paycheck or cash
What are wants?
Nice-to-have items, things that are not needed
What is a short-term goal?
a goal that does not take long to complete
What is an interest rate?
Cost of borrowing (%), money that is added to something over time
What is the ultimate goal of a budget?
planning how to save and spend money
What is the difference between wages vs salary?
Wages are paid hourly, Salary is yearly.
What is choosing how to spend/save money?
A budget or choice.
What is a long-term goal?
a goal that will take a while to complete
What is a credit card?
Card used to borrow money
You have $600 in your account. You earn $500. You also earn $200 from a side job. You spend $500 on needs and $100 on wants. You save the rest.
7,000